S.I. No. 426/2014 - European Union (Energy Efficiency) Regulations 2014

TABLE OF CONTENTS

PART 1 GENERAL

1.

2.

3.

PART 2 PUBLIC SECTOR

4.

5.

6.

7.

8.

9.

10.

PART 3 ENERGY AUDITS

11.

12.

13.

14.

15.

16.

17.

PART 4 METERING AND BILLING

18.

19.

20.

21.

22.

PART 5 COMBINED HEAT AND POWER and DISTRICT HEATING

23.

24.

25.

26.

PART 6 ENERGY TRANSFORMATION, TRANSMISSION AND DISTRIBUTION

27.

28.

29.

30.

31.

32.

33.

34.

35.

36.

PART 7 ENERGY EFFICIENCY INFORMATION, SERVICES, INCENTIVES AND FINANCING

37.

38.

39.

40.

41.

42.

43.

44.

45.

S.I. No. 426 of 2014

EUROPEAN UNION (ENERGY EFFICIENCY) REGULATIONS 2014

Notice of the making of this Statutory Instrument was published in

“Iris Oifigiúil” of 3rd October, 2014.

I, ALEX WHITE, Minister for Communications, Energy and Natural Resources, in exercise of the powers conferred on me by section 3 of the European Communities Act 1972 (No. 27 of 1972), and for the purpose of giving effect to Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012¹ , hereby make the following regulations:

PART 1 GENERAL

Citation

Interpretation

“Act of 1992” means Environmental Protection Agency Act 1992 (No. 7 of 1992);

“Act of 1999” means Electricity Regulation Act 1999 (No. 23 of 1999);

“Act of 2002” means Gas (Interim) (Regulation) Act 2002 (No. 10 of 2002);

“Act of 2006” means Energy (Miscellaneous Provisions) Act 2006 (No. 40 of 2006);

“advanced meter” means an individual meter, and its associated communications and information technology systems, that accurately reflects an individual final customer’s consumption of heating or cooling or hot water and provides effective information on time of use of energy;

“aggregator” means an energy services provider that aggregates multiple consumer loads for sale, auction or participation in organised energy markets, or as part of ancillary or system services;

“Annex” means an Annex to the Directive;

“ancillary or system services” means all services necessary for the operation of the electricity (transmission and distribution) system;

“Article” means an Article of the Directive;

“BER” or “Building Energy Rating”, “DEC” or “Display Energy Certificate” and “Advisory Report” have the meanings they have, respectively, in the European Union (Energy Performance of Buildings) Regulations 2012 ( S.I. No. 243 of 2012 );

“certificate” means a certificate issued by the CER certifying actual power to heat ratios under the Electricity Act 1999 (Appointment of Person to Calculate Power to Heat Ratios of Combined Heat and Power Units) Order 2009 ( S.I. No. 299 of 2009 );

“central government” means a Department of State or the Revenue Commissioners or both;

“CER” means Commission for Energy Regulation;

“combined heat and power”, “generating station”, “high efficiency combined heat and power” and “transmission” have the meanings assigned to them, respectively, by section 2 (as amended by section 6(a) of the Act of 2006) of the Act of 1999;

“company” means a company within the meaning of the Companies Acts;

“cost-benefit analysis” means an analysis carried out in accordance with Regulation 23(11);

“Department” means Department of Communications, Energy and Natural Resources;

“Directive” means Directive 2012/27/EU of the European Parliament and of the Council of 25 October 20121;

“Directive 2010/31/EU” means Directive 2010/31/EU of the European Parliament and of the Council of 19 May 2010² ;

“district heating and cooling” means a district heating or cooling system using at least 50 per cent renewable energy, 50 per cent waste heat, 75 per cent cogenerated heat or 50 per cent of a combination of such energy and heat;

“distribution system operator” means—

• (a) in relation to electricity, the holder of a licence under section 14(1)(g) of the Act of 1999, or

• (b) in relation to natural gas, the holder of a licence under section 16(1)(e) and (f) (inserted by Regulation 41(b) of the European Communities (Internal Market in Natural Gas and Electricity) Regulations 2011 ( S.I No. 630 of 2011 )) of the Act of 2002;

“distribution code” means a code in relation to the distribution systems set out in regulations under section 33 of the Act of 1999;

“Electricity Market Directive” means Directive 2009/72/EC of the European Parliament and of the Council of 13 July 2009³ ;

“energy” means all forms of commercially available energy, including energy in the form of electricity, natural gas (including liquefied natural gas), liquefied petroleum gas, fuel for heating and cooling (including district heating and cooling), coal and lignite, peat, transport fuels (excluding aviation and maritime bunker fuels) and biomass;

“energy audit” means an energy audit that is carried out in accordance with the national criteria by a person who is registered under the energy audit scheme;

“energy audit scheme” means the scheme established under Regulation 12;

“energy distributor” means a person, other than a distribution system operator or transmission system operator, that transports energy with a view to its delivery to final customers and to distribution stations that sell energy to final customers and, subject to the foregoing, includes energy undertakings;

“energy service” means the physical benefit, utility or good derived from a combination of energy, with energy efficient technology or with action, or both, which may include the operations, maintenance and control necessary to deliver the service, which is delivered on the basis of a contract and in normal circumstances has proven to lead to verifiable and measurable or estimable energy efficiency improvement or primary energy savings, or both;

“energy services provider” means a person that delivers energy services or other energy efficiency improvement measures to a final customers facility or premises, where the payment for the services delivered is based either wholly or in part on the achievement of energy efficiency improvements and on the meeting of other agreed performance criteria;

“energy supplier” means—

• (a) in relation to natural gas, the holder of a licence under section 16(1)(a) of the Act of 2002, and

• (b) in relation to electricity, the holder of a licence under section 14(1)(b) or (h) of the Act of 1999;

“energy undertaking” has the meaning assigned to it in section 2 (as amended by section 22 of the Act of 2002) of the Act of 1999;

“electricity from high efficiency combined heat and power” means the quantity of electricity from combined heat and power as determined in accordance with paragraph 1 of Schedule 3 to the Act of 1999;

“final customer” means a person purchasing energy for his or her own use;

“guarantee of origin” means an electronic document which has the sole function of providing proof to a final customer that a given share of energy was deemed to be electricity from high efficiency combined heat and power;

“GWh” means gigawatt-hours, a measure of energy usage;

“high efficiency combined heat and power” has the meaning assigned to it in the Act of 1999;

“installation” means a stationary technical unit or plant where the activity concerned referred to in the First Schedule to the Act of 1992 is or shall be carried on, and is deemed to include any place where any directly associated activity is carried out, whether that activity is licensable under Part IV of the Act of 1992 or not, where it has a technical connection with the first-mentioned activity and is carried out on the site of that activity;

“Internal Market Regulations” means European Communities (Internal Market in Electricity) Regulations 2005 ( S.I. No. 60 of 2005 );

“major renovation” has the meaning assigned to it by Regulation 3 of the European Communities (Energy Performance of Buildings) Regulations 2012 ( S.I. No. 243 of 2012 );

“Minister” means Minister for Communications, Energy and Natural Resources;

“national monument” means a national monument for the purposes of the National Monuments Acts 1930 to 2014, including—

• (a) a recorded monument under section 12 of the National Monuments (Amendment) Act 1994 (No. 17 of 1994), or

• (b) a registered historic monument under section 5 of the National Monuments (Amendment) Act 1987 (No. 17 of 1987);

“Natural Gas Market Directive” means Directive 2009/73/EC of the European Parliament and of the Council of 13 July 2009⁴ ;

“organised electricity markets” includes over-the-counter markets and electricity exchanges for trading energy, capacity, balancing and ancillary services in all timeframes, including forward, day-ahead and intra-day markets;

“protected structure” and “proposed protected structure” have the meanings assigned to them, respectively, in section 2 of the Planning and Development Act 2000 (No. 30 of 2000);

“registered energy auditor” means a person who is registered under Regulation 13 under the energy audit scheme;

“Regulations of 2005” means European Communities (Internal Market in Electricity) Regulations 2005 ( S.I. No. 60 of 2005 );

“retail energy sales company” means any person that sells energy to final customers and includes an energy supplier;

“SEAI” means Sustainable Energy Authority of Ireland;

“smart metering system’ and ‘intelligent metering system’ means an electronic system that can measure energy consumption, providing more information than a conventional meter, and can transmit and receive data using a form of electronic communication;

“SEMO” means Single Electricity Market Operator;

“SME” means an enterprise which employs fewer than 250 employees and which has—

• (a) an annual turnover not exceeding €50,000,000, or

• (b) an annual balance sheet total not exceeding €43,000,000;

“substantial refurbishment” means a refurbishment that includes energy production plant and costing at least 50 per cent of the investment cost for a new comparable installation, but does not include refurbishment which involves the fitting of equipment for the capture and geological storage of carbon, as permitted by the European Communities (Geological Storage of Carbon Dioxide) Regulations 2011 (No. 575 of 2011);

“support scheme” means any instrument, scheme or mechanism (including investment aid and tax exemptions, reductions and refunds) introduced by a Minister of the Government or under an enactment, that promotes the use of energy from renewable sources by reducing the cost of that energy, increasing the price at which it can be sold, or increasing, by means of a renewable energy obligation or otherwise, the volume of such energy purchased and includes, but is not restricted to, renewable energy obligation support schemes including those using green certificates and direct price support schemes including feed-in tariffs and premium payments;

“total rated thermal input” means, where several activities falling under the same activity description containing a threshold are operated in the same installation, the capacities of such activities added together;

“transmission system operator” means the holder of a licence granted under section 14(1)(e) of the Act of 1999.

• (2) A word or expression that is used in these Regulations and is also used in the Directive has, unless the context otherwise requires, the same meaning in these Regulations as it has in the Directive.

Application

1. (1) These Regulations apply to—

   • (a) energy distributors,

   • (b) distribution system operators,

   • (c) energy suppliers,

   • (d) retail energy sales companies,

   • (e) energy services providers, and

   • (f) final customers.

2. (2) These Regulations apply to the Defence Forces only to the extent that they do not conflict with the nature and primary aim of their activities.

3. (3) These Regulations do not apply to material used exclusively for military purposes.

4. (4) These Regulations do not apply to protected structures in so far as compliance with minimum energy performance requirements under law would disproportionately alter their character or appearance.

5. (5) These Regulations do not apply to persons holding a greenhouse gas emissions permit granted in accordance with Regulation 7 of the European Communities (Greenhouse Gas Emissions Trading) Regulations 2012 ( S.I. No. 490 of 2012 ).

PART 2 PUBLIC SECTOR

Designation as public body

• (a) a Department of State,

• (b) a body, institution or office established under—

• (i) the Constitution,

• (ii) any enactment (other than the Companies Acts),

• (iii) the Companies Acts, in pursuance of powers conferred by or under another enactment, and financed wholly or partly, whether directly or indirectly, by means of moneys provided, or loans made or guaranteed, by a Minister of the Government, or a majority of shares in which are held by or on behalf of a Minister of the Government,

• (c) a local authority (within the meaning of the Local Government Act 2001 ),

• (d) a recognised school or centre for education (within the meaning, respectively, of section 2 of the Education Act 1998 (No. 51 of 1998)),

• (e) a higher education institution which is an approved institution (within the meaning of section 7 of the Student Support Act 2011 (No. 4 of 2011)), and

• (f) a body designated in accordance with paragraph (2).

• (2) A body, other than a public body within the meaning of subparagraph (a), (b) (c), (d) or (e) of paragraph (1), that is financed principally from moneys provided by the Oireachtas or by a public body, may—

• (a) on application to the SEAI, or as a condition of its participation in an energy efficiency improvement programme for public bodies that is operated or managed by the SEAI, be designated by the SEAI, or

• (b) after consultation with the body concerned, be designated by the Minister,

as a public body for the purposes of this Part.

Exemplary role of public bodies

• (2) Without prejudice to the generality of paragraph (1), public bodies shall fulfil their exemplary role in accordance with requirements published by the SEAI and including through the maintenance and construction of energy efficient buildings pursuant to measures adopted under Regulation 9, their energy management practices, energy efficient procurement under Regulation 10, the use of energy audits under Regulation 11, the use of financial instruments for energy savings, the use of energy services and other cost effective actions relevant to these Regulations.

• (3) Public bodies shall report energy management and performance data to the SEAI on an annual basis, using procedures and calculation methodologies specified by the SEAI.

• (4) The SEAI shall, with the approval of the Minister, publish an annual report on energy management and performance in the public sector. The annual report may include the exemplary actions of public bodies. Public bodies shall cooperate with the SEAI in this regard.

• (5) A public body shall publish an annual statement describing the actions it is taking, or has taken, to improve its energy efficiency and an assessment of the energy savings arising from those actions. The SEAI shall specify the format of a statement and assessment under this paragraph.

• (6) Where a public body is obliged to publish an annual report the statement referred to in paragraph (5) may form part of that publication.

• (7) The SEAI shall facilitate and enable the exchange of information on best practice on energy efficiency between public bodies, both in and outside the State.

Guidelines on energy efficiency in public sector

• (2) The SEAI shall, with the approval of the Minister and the Minister for Public Expenditure and Reform, publish guidelines on the use by public bodies of financial instruments for energy savings, including energy performance contracting, and in particular, requirements that such instruments stipulate the achievement of measurable and pre-determined energy savings. The SEAI shall promote the use of such instruments to public bodies.

Public sector energy audits

• (2) The report of an energy audit conducted under paragraph (1) shall include advice, appropriate to the public body concerned, on how the recommendations of the report may be financed through financial instruments for energy savings.

• (3) The SEAI may request details from a public body of the results of its energy audits or request a copy of the report of its energy audits and a public sector body shall comply with such requests.

• (4) The SEAI shall promote the benefits of energy audits to public bodies and shall, in particular, highlight the additional benefits of an energy audit, not provided by a BER assessment, an advisory report or display energy certificate.

Purchase / lease of buildings by public bodies

• (2) Paragraph (1) does not apply in respect of—

• (a) a purchase or first letting of a building by a public body where that purchase or letting is made before the relevant date specified in that paragraph, or

• (b) a building not intended for human occupancy for extended periods, such as a warehouse or store.

• (3) A public body may, at its discretion, invoke an exemption from the requirements of paragraph (1), where—

• (a) it is renewing or extending a lease for a building occupied by it immediately prior to such renewal or extension,

• (b) it is leasing a building or a portion of a building owned by another public body or is sub-letting from another public body,

• (c) it is purchasing or leasing a protected structure or proposed protected structure, or a national monument, or a portion of such structure,

• (d) it has established that no building that complies with paragraph (1) is available that is satisfactory in terms of location, size, specification or price (having regard to the energy costs likely to be associated with a particular building), or

• (e) it intends to bring the building to an A3 rating within 3 years or prior to occupation.

Exemplary role of public bodies’ buildings

• (2) The inventory referred to in paragraph (1) shall contain the following data—

• (a) the floor area in m2, and

• (b) the energy performance of each building or relevant energy data.

• (3) The SEAI shall encourage public bodies, including at regional and local level, and social housing bodies, to—

• (a) adopt an energy efficiency plan, freestanding or as part of a broader climate or environmental plan, containing specific energy saving and efficiency objectives and actions, with a view to following the exemplary role of public bodies laid down in Article 5,

• (b) put in place an energy management system, including energy audits, as part of the implementation of their plan, and

• (c) use, where appropriate, energy service providers, and energy performance contracting to finance renovations and implement plans to maintain or improve energy efficiency in the long term.

Purchasing by public bodies

• (2) The obligation set out in paragraph (1) shall apply to contracts for the purchase of products, services and buildings by public bodies in so far as such contracts have a value equal to or greater than the thresholds laid down in Article 7 of Directive 2004/18/EC of the European Parliament and of the Council of 31 March 2004⁵ given effect to by the European Communities (Award of Public Authorities’ Contracts) Regulations 2006 ( S.I. No. 329 of 2006 ).

• (3) The obligation referred to in paragraph (1) shall apply to the contracts of the Defence Forces only to the extent that its application does not cause any conflict with the nature and primary aim of the activities of the Defence Forces. The obligation does not apply to contracts to which the European Union (Award of Contracts relating to Defence and Security) Regulations 2012 ( S.I. No. 62 of 2012 ) apply.

• (4) The Office of Government Procurement, in conjunction with the Minister, shall encourage all public bodies to follow the exemplary role of central government to purchase only products, services and buildings with high energy-efficiency performance.

• (5) The Office of Government Procurement, in conjunction with the Minister, shall encourage all public bodies, when tendering service contracts with significant energy content, to assess the possibility of concluding long- term energy performance contracts that provide long-term energy savings.

• (6) Without prejudice to paragraph (1), when a product package covered as a whole by a delegated act adopted under Directive 2010/30/EU of the European Parliament and of the Council of 19 May 2010⁶ is being purchased by public bodies the aggregate energy efficiency of the products may take priority over the energy efficiency of individual products within that package, where the product package complies with the criterion of belonging to the highest energy efficiency class.

PART 3 ENERGY AUDITS

Energy audits

• (2) The SEAI shall publish on its website transparent and non-discriminatory minimum criteria for energy audits, to cover buildings or groups of buildings, industrial operations or installations, including transportation, based on guidelines as laid out in Annex VI.

National registration scheme for energy auditors

• (2) The SEAI may, where appropriate and with prior approval from the Minister, designate industry associations to operate specified functions under the energy audit scheme.

• (3) The SEAI shall create, maintain, update on a regular basis and publish on its website a list of energy auditors registered under Regulation 13.

• (4) The SEAI shall maintain on its website a list of those industry associations that have been designated to operate specified functions under the energy audit scheme.

• (5) The SEAI shall provide for an annual quality assurance testing of a random selection of at least a statistically significant percentage of all the energy audits carried out.

Scheme registration

• (2) In registering an energy auditor, the SEAI may designate the class or classes of audit which the energy auditor is authorised to carry out.

• (3) The SEAI shall not consider a person for registration as an energy auditor unless—

• (a) the person makes an application for registration to the SEAI in the form specified by the SEAI for such purpose,

• (b) the application for registration is accompanied by any fee specified by the SEAI, and

• (c) the person meets any other requirements specified by the SEAI.

• (4) Before registering an energy auditor, the SEAI should be satisfied that the applicant is sufficiently qualified or has successfully completed an approved training course in relation to different classes of energy audits.

• (5) An energy auditor who is registered by the SEAI in respect of one class of energy audit may apply to the SEAI to be registered in respect of another class or classes of energy audit, and may be so registered, subject to compliance with paragraphs (3) and (4) and payment of any fee specified by the SEAI.

• (6) An energy auditor shall be required to renew his or her registration at such frequency as may be determined by the SEAI, subject to the payment of any registration renewal fee specified by the SEAI.

• (7) The SEAI may provide each energy auditor with a certificate of registration for the designated class or classes of energy audit to which his or her registration pertains.

• (8) Where the SEAI suspends or withdraws the registration of a person as an energy auditor, it shall note, in the register at the entry for that person as an energy auditor, the suspension or withdrawal of the registration and the date on which it was suspended or withdrawn.

• (9) The SEAI may, having regard to all the circumstances of the case, suspend or withdraw the registration of an energy auditor following—

• (a) failure by the energy auditor to attend a course of periodic training if required by the SEAI or to satisfactorily complete such a training course,

• (b) failure by an energy auditor to comply with a direction under these Regulations,

• (c) failure by the energy auditor to carry out an energy audit in a fit and proper manner, or to maintain or provide satisfactory data, documentation or records of any such assessment,

• (d) the committing, or aiding or abetting the committing, by the energy auditor of an offence under these Regulations, or

• (e) the forming of an opinion by the SEAI that the energy auditor has ceased to be capable of performing his or her functions under these Regulations properly and efficiently.

• (10) A suspension or withdrawal of registration under paragraph (9) shall be notified to the person concerned in writing and shall state the reasons for the suspension or withdrawal and inform the person of the appeal procedure under paragraph (11).

• (11) A person whose registration has been suspended or withdrawn under paragraph (9) may, not later than 14 days of the suspension or withdrawal, appeal against the suspension or withdrawal to the judge of the District Court within whose district the person principally carries out energy audits.

• (12) The Court may confirm the suspension or allow withdrawal and the SEAI shall annotate the register maintained by it accordingly.

• (13) A person whose registration as an energy auditor has lapsed or been suspended or withdrawn may be directed by the SEAI to return to the SEAI or to destroy any data or documentation provided by building or installation owners or their agents, and any copies thereof, in relation to energy audits carried out by him or her in his or her capacity as an energy auditor.

• (14) A person whose registration as an energy auditor has lapsed, been suspended or withdrawn and who represents himself or herself as an energy auditor commits an offence.

• (15) A person who, not being such, purports to be an energy auditor for a designated class or classes of energy audit under these Regulations commits an offence.

• (16) A person who purporting to give information to the SEAI under this Regulation—

• (a) makes a statement that he or she knows to be false or misleading in a material particular or recklessly makes a statement which is false in a material particular, or

• (b) fails to disclose a material particular,

commits an offence.

Energy audit requirements and exemptions

• (a) the first audit shall take place prior to 5 December 2015;

• (b) the next audit and subsequent audits shall take place within 4 years of the previous energy audit;

• (c) the audits shall be carried out either by—

• (i) independent registered energy auditors, or

• (ii) in-house energy auditors provided they are registered under the energy audit scheme and who shall provide audit details to the SEAI upon request.

• (2) Energy audits shall be considered as fulfilling the requirements of paragraph (1) when they are carried out in an independent manner, on the basis of the minimum criteria set out in Annex VI, and implemented under programmes the SEAI may designate as meeting the minimum requirements of the Directive.

• (3) Companies that are not SMEs and that are implementing an energy or environmental management system, certified by an independent body according to the relevant European or international standards, shall be exempted from the requirements of paragraph (1), provided that the SEAI ensures that the management system concerned includes an energy audit on the basis of the minimum criteria set out in Annex VI.

• (4) Energy audits may stand alone or be part of a broader environmental audit. The SEAI may require that an assessment of the technical and economic feasibility of connection to an existing or planned district heating or cooling network shall be part of the energy audit.

• (5) The findings of an energy audit may be transferred to any qualified or accredited energy service provider, on condition that the customer does not object.

• (6) A person who fails to comply with paragraph (1) commits an offence.

Promotion of energy audits

• (a) develop programmes to encourage SMEs to undergo energy audits and to implement the recommendations from these audits,

• (b) promote to SMEs the advantages of energy management through dissemination of best practice case studies,

• (c) develop programmes to raise awareness among households about the benefits of energy audits through appropriate advice services, and

• (d) encourage the development of training programmes for the qualification of energy auditors in order to facilitate sufficient availability of experts.

Penalties

• (2) Proceedings for an offence under Regulation 13 or 14 may be brought and prosecuted by the SEAI.

• (3) Where an offence under Regulation 13 or 14 is committed by a body corporate and is proved to have been committed with the consent or connivance of, or to be attributable to any neglect on the part of, a person being a director, manager, secretary or other officer of the body corporate, or a person who was purporting to act in any such capacity, that person, as well as the body corporate commits an offence and is liable to be proceeded against and punished as if he or she had committed the first-mentioned offence.

Availability of qualification, accreditation and certification schemes

• (2) The SEAI shall ensure that the schemes referred to in paragraph (1) provide transparency to consumers, are reliable and contribute to national energy efficiency objectives.

• (3) The SEAI shall make publicly available the certification or accreditation schemes or equivalent qualification schemes referred to in paragraph (1) and shall cooperate with appropriate authorities in other Member States and with the European Commission on comparisons between, and recognition of, the schemes.

• (4) The SEAI shall take appropriate measures to make consumers aware of the availability of qualification and certification schemes in accordance with Article 18(1).

PART 4 METERING AND BILLING

Metering — regulated energy sector (electricity and gas)

• (2) A distribution system operator shall provide a final customer with a competitively priced individual meter where a new connection is made in a new building or a building undergoesmajor renovations, as set out in Directive 2010/31/EU.

• (3) In a case where it is proposed to provide a final customer with a competitively priced individual meter when that customer’s existing meter is being replaced, the distribution system operator shall ensure that an assessment is carried out.

• (4) The assessment at paragraph (3) shall consider whether it is technically feasible, financially reasonable and proportionate in relation to the potential energy savings for the final customer concerned.

• (5) A competitively priced individual meter shall be provided in all cases except where the results of the assessment at paragraph (3) conclude that the provision of a competitively priced individual meter is technically impossible or not cost effective in relation to the estimated potential savings in the long term for the final customer concerned.

Billing — regulated energy sector

• (2) The CER, having consulted with such persons as it considers appropriate, may by licence condition provide that energy suppliers must apply time-of-use tariffs to a class or classes of customer.

• (3) The licence modification provisions set out in the Act of 1999 shall apply to paragraph (2).

• (4) Where, and to the extent that, the CER implements and rolls out smart metering systems for natural gas or electricity in accordance with the Directive, the Electricity Market Directive and the Natural Gas Market Directive, the CER shall ensure that—

• (a) the smart metering systems provide to final customers information on actual time of use and that the objectives of energy efficiency and benefits for final customers are fully taken into account when establishing the minimum functionalities of the smart metering systems and the obligations imposed on market participants,

• (b) the security of the smart metering systems and data communication, and the privacy of final customers, is in compliance with relevant European Union data protection and privacy legislation,

• (c) in the case of electricity and at the request of the final customer, the distribution system operator ensures that the smart metering systems can account for electricity put into the grid from the final customer’s premises to the extent technically feasible and economically viable,

• (d) if final customers request it, metering data on their electricity input and off-take is made available to them or to a third party acting on behalf of the final customer in an easily understandable format that they can use to compare deals on a like-for-like basis, and

• (e) energy undertakings shall provide appropriate advice and information to customers at the time of installation of smart metering systems, in particular about their full potential with regard to meter reading management and the monitoring of energy consumption.

• (5) Smart metering systems installed in accordance with the Electricity Market Directive and the Natural Gas Market Directive shall enable accurate billing information based on actual consumption and final customers, notwithstanding the provisions of section 9M(5) of the Act of 1999 shall have the possibility of easy access to complementary information on historical consumption allowing detailed self- checks. Such complementary information shall include detailed data according to the time of use for any day, week, month and year. These data shall be made available to the final customer by way of the internet or the meter interface for the period of at least the previous 24 months or the period since the start of the supply contract if this is shorter.

• (6) Irrespective of whether smart meters have been installed or not, the CER shall place licence conditions upon energy suppliers to ensure that:

• (a) to the extent that information on the energy billing and historical consumption of final customers is available, it be made available, at the request of the final customer, to an energy service provider designated by the final customer;

• (b) final customers are offered the option of electronic billing information and bills and that they receive, on request, a clear and understandable explanation of how their bill was derived, especially where bills are not based on actual consumption;

• (c) appropriate information is made available with the bill to provide final customers with a comprehensive account of current energy costs, in accordance with Annex VII and as required in the CER’s code of practice;

• (d) at the request of the final customer, the information contained in these bills shall not be considered to constitute a request for payment. In such cases, the CER shall ensure that suppliers of energy sources offer flexible arrangements for actual payments;

• (e) information and estimates for energy costs are provided to consumers on demand in a timely manner and in an easily understandable format enabling consumers to compare deals on a like-for-like basis.

• (7) Without prejudice to Regulation 9 of the European Communities (Internal Market in Electricity and Gas) (Consumer Protection) Regulations 2011 ( S.I. No. 463 of 2011 ), the CER shall ensure that final customers receive all their bills and billing information for energy consumption free of charge and that final customers also have access to their consumption data in an appropriate way and free of charge.

Directions — regulated energy sector

• (a) the remedial actions the supplier or operator shall take, and

• (b) the period of time for compliance with the direction.

• (2) An energy supplier or distribution system operator may make representations to the CER, not later than 30 days beginning on the day on which the direction is served on it. The CER shall upon receiving such representations consider them and reply to the supplier or operator, not later than 60 days after such receipt.

• (3) An energy supplier or distribution system operator that is aggrieved by a direction may—

• (a) if no representations are made under paragraph (2), within the period of 30 days beginning on the day on which the direction is issued to it, or

• (b) if representations are made under paragraph (2), within the period of 30 days beginning on the day on which notification of the reply is served on it,

appeal to the High Court by way of motion on notice against the direction and, in determining the appeal, the judge may make such order he or she considers appropriate, including confirming the direction, with or without modification, or cancelling the direction.

• (4) Where an energy supplier or distribution system operator fails to comply in full with a direction within the period specified in the direction or fails to cooperate with the CER with regard to the direction, the CER may apply to the High Court for an order directing the supplier or operator to comply with the direction or to cooperate.

• (5) In this Regulation “direction” means a direction issued under paragraph (1).

Metering and billing — non-regulated energy sector (domestic hot water, district heating and cooling)

Advanced metering — assessment

• (2) For the purposes of paragraph (1), the SEAI shall monitor the commercial provision of domestic hot water and district heating or cooling by retail energy sales companies. The SEAI shall advise the Minister if any retail energy sales company is likely to come within the scope of this Regulation.

• (3) The SEAI shall, where directed by the Minister, assess, in accordance with paragraph (4), the feasibility of requiring a retail energy sales company to—

• (a) provide all of its final customers, including each unit in multi-apartment and multi-purpose buildings—

• (i) with a central heating or cooling source,

• (ii) supplied from a district heating or cooling network, or

• (iii) supplied from a central source serving multiple buildings,

with advanced meters, to measure the consumption of heat or cooling or hot water, or

• (b) provide a final customer with an advanced meter in respect of a new building, being provided by that retail energy sales company with district heating or cooling or domestic hot water for the first time.

• (4) An assessment under paragraph (3) shall consider whether it is technically possible, financially reasonable and proportionate in relation to the potential energy savings for the final customers concerned, to require that an advanced meter be provided in the circumstances specified in that paragraph.

• (5) The SEAI shall submit a report to the Minister of its assessment under paragraphs (3) and (4).

• (6) Where a report under paragraph (5) concludes that it is feasible for a retail energy sales company to provide an advanced meter in any of the circumstances specified in paragraph (3), the Minister may, where he or she considers it appropriate, publish that report on the Department’s website and invite submissions from interested parties.

• (7) Following consideration of the submissions received following publication of the report under paragraph (6), the Minister shall determine whether, in his or her opinion, it is technically possible, financially reasonable and proportionate in relation to the potential energy savings for the final customer concerned, to require that an advanced meter be provided by a particular retail energy sales company to its final customers.

• (8) Where the Minister determines that advanced meters should be provided by a particular retail energy sales company, he or she shall notify the company concerned in writing.

Mandatory advanced metering

• (9) A retail energy sales company shall provide an advanced meter to its final customers where:

• (a) an existing meter is replaced and it is technically feasible and cost effective in relation to the potential savings in the long term, or

• (b) a new connection is made in a new building or a building undergoing major renovation.

• (10) Where a retail energy sales company determines compliance with paragraph (9)(a) is not technically feasible or cost-effective in relation to the estimated potential savings in the long term, the retail energy sales company shall submit a report to the SEAI supporting this determination.

• (11) Based on the report submitted under paragraph (10), the SEAI shall assess the technical feasibility and cost effectiveness of the retail energy sales company complying with paragraph (9)(a) or whether an alternative cost-efficient method should be provided.

• (12) The SEAI shall submit a report to the Minister of its assessment under paragraph (11).

• (13) The Minister may, where he or she considers it appropriate and necessary, publish the report submitted under paragraph (12) on the Department’s website and invite submissions from interested parties.

• (14) Following consideration of the submissions received following publication of the report under paragraph (13), the Minister shall determine, in his or her opinion, the technical and economic feasibility of requiring the retail energy sales company to comply with paragraph (9)(a).

• (15) Where the Minister determines that a retail energy sales company should comply with paragraph (9)(a), he or she shall notify the company concerned in writing.

Heat or hot water meters

• (16) Without prejudice to the requirement for advanced metering, a heat or hot water meter shall be installed by the retail energy sales company—

• (a) at the heating exchanger or point of delivery where heating and cooling or hot water are supplied to a building from a district heating network or from a central source servicing multiple buildings, and

• (b) to measure the consumption of heat or cooling or hot water for each individual unit in multi-apartment and multi-purpose buildings with a central heating or cooling source or supplied from a district heating network or from a central source serving multiple buildings where technically feasible and cost efficient.

• (17) The requirements of paragraph (16)(b) shall be complied with by 31 December 2016.

• (18) Where a retail energy sales company determines that it is not technically feasible or not cost-efficient, to comply with paragraph (16)(b), the retail energy sales company shall submit a proposal to the SEAI detailing—

• (a) the retail energy sales company’s assessment of the economic and technical feasibility of implementing paragraph (16)(b),

• (b) the retail energy sales company’s assessment of whether the use of individual heat cost allocators to measure heat consumption at each radiator would be cost-efficient, and

• (c) where the retail energy sales company determines the use of individual heat cost allocators is not cost efficient, the retail energy sales company’s assessment of alternative cost-efficient methods of heat consumption measurement.

• (19) Based on the proposal submitted under paragraph (18), the SEAI shall assess the technical and economic feasibility of requiring that—

• (a) meters,

• (b) individual heat cost allocators, or

• (c) an alternative cost-efficient method,

be provided in the circumstances.

• (20) The SEAI shall submit a report to the Minister of its assessment under paragraph (19).

• (21) The Minister may, where he or she considers it appropriate, publish the report submitted under paragraph (20) on the Department’s website and invite submissions from interested parties.

• (22) Following consideration of any submissions that may be received under paragraph (21), the Minister shall determine the technical and economic feasibility to require that—

• (a) meters,

• (b) individual heat cost allocators, or

• (c) an alternative cost-efficient method,

be provided by a particular retail energy sales company for each unit.

• (23) Where the Minister determines that meters, individual heat cost allocators or an alternative cost-efficient method should be provided by a particular retail energy sales company in multi-apartment and multi-purpose buildings with a central heating or cooling source or supplied from a district heating network or from a central source serving multiple buildings, he or she shall notify the company concerned in writing.

Compliance

• (24) A retail energy sales company shall comply with a determination notified to it under paragraph (15) or (23) and shall provide such meters to its final customers in accordance with the determination and at a price or on such financial terms which, in the opinion of the Minister, is reasonable and appropriate.

• (25) Where a retail energy sales company fails to comply with a notification to it under paragraph (15) or (23), within the period of time specified in that notification, the Minister may apply to the High Court for an order directing the retail energy sales company concerned to comply with the determination.

• (26) A retail energy sales company shall ensure that final customers receive all their bills and billing information for energy consumption without charge and that final customers also have access to their consumption data in an appropriate way and without charge.

• (27) Notwithstanding paragraph (26), the distribution of costs of billing information for the individual consumption of heating and cooling in multi-apartment and multi-purpose buildings shall be carried out on a non-profit basis. Costs resulting from the assignment of this task to a third party, such as a service provider, covering the measuring, allocation and accounting for actual individual consumption in such buildings, may be passed onto the final customers to the extent that such costs are reasonable.

• (28) The SEAI may undertake an assessment of a retail energy supply company’s compliance with paragraph (27).

• (29) Where the SEAI undertakes an assessment under paragraph (28) it shall issue a report based on its assessment to the Minister.

• (30) Based on a report issued under paragraph (29), the Minster may determine a retail energy sales company to be non-compliant with the requirements of paragraph (27). Where the Minister determines non-compliance, he or she shall notify the retail energy sales company concerned in writing, stating a timeframe within which the retail energy sales company shall become compliant with paragraph (27).

• (31) A retail energy sales company shall comply with a determination notified to it under paragraph (30).

• (32) Where a retail energy sales company fails to comply with a determination or instruction notified to it under paragraph (30), within the timeframe specified in that notification, the Minister may apply to the High Court for an order directing the retail energy sales company concerned to comply with the determination.

Service of directions and determinations

• (a) by delivering it to the undertaking,

• (b) by leaving it at the address at which the undertaking carries on business,

• (c) by sending it by pre-paid registered post to the address at which the undertaking carries on business,

• (d) if an address for the service of directions or determinations has been furnished by the undertaking to the Minister or the CER, by leaving it at, or sending it by pre-paid registered post to, that address, or

• (e) where in the case of a direction, the Minister or the CER considers that the immediate giving of the direction is required, by sending it, by means of a facsimile machine or by electronic mail, to a device or facility for the reception of facsimiles or electronic mail located at the address at which the undertaking ordinarily carries on business or, if an address for the service of notices has been furnished by the undertaking, at that address, but only if—

• (i) the sender’s facsimile machine generates a message confirming successful transmission of the total number of pages of the direction, or

• (ii) the recipient’s facility for the reception of electronic mail generates a message confirming receipt of the electronic mail,

and the direction is also given under any of the above subparagraphs.

• (2) For the purposes of paragraph (1), a company is deemed to be carrying on business at its registered office and every other body corporate and every unincorporated body is deemed to be carrying on business at its principal office or place of business.

• (3) In this Regulation “direction” includes a notification of a reply in respect of a direction under Regulation 20.

PART 5 COMBINED HEAT AND POWER and DISTRICT HEATING

Promotion of efficiency in heating and cooling

Comprehensive assessment

• (2) The assessment carried out under paragraph (1) shall include the requirements as stated in Annex VIII and the national potentials for high efficiency combined heat and power carried out under Directive 2004/8/EC of the European Parliament and of the Council of 11 February 2004⁷ .

• (3) For the purposes of the assessment carried out in paragraph (1) the SEAI shall undertake a cost-benefit analysis based on climate conditions, economic feasibility and technical suitability in accordance with the requirements stated in Part 1 of Annex IX.

• (4) The cost-benefit analysis undertaken in paragraph (3) shall be capable of facilitating the identification of the most efficient solutions, with regard to cost and resources, to meeting heating and cooling needs. This analysis should include the administrative costs to the economic operator of completing the cost-benefit analysis referred to in paragraph (11).

• (5) Based on the assessments undertaken in paragraphs (1) and (3), the SEAI shall identify the potential for the application of cost-beneficial high efficiency combined heat and power or district heating and cooling.

• (6) Based on the assessments undertaken in paragraphs (1) and (3), the SEAI shall identify the high efficiency combined heat and power or district heating and cooling applications which would not be cost-beneficial.

• (7) The SEAI shall submit a detailed report of the comprehensive assessment based on its analysis under paragraphs (1) to (6) to the Minister not later than 30 June 2015.

• (8) The report submitted under paragraph (7) shall include appropriate recommendations of measures that could—

• (a) accommodate development of district heating and cooling infrastructure or high efficiency combined heat and power and the use of heating and cooling from waste heat in accordance with the analysis undertaken in paragraphs (1) to (6) and in accordance with the guiding principles developed under paragraph (10) and section 86A of the Act of 1992, or

• (b) encourage the consideration of the potential of using heating and cooling systems and high efficiency combined heat and power and the potential for developing local and regional heat markets.

• (9) The Minister shall consider the recommendations made under paragraph (8) and implement adequate measures where appropriate.

Installation level cost benefit analysis

• (10) The SEAI shall prepare guiding principles for the preparation of installation level cost-benefit analysis in accordance with Annex IX and shall make this information publically available on its website.

• (11) Where required to support an application to the Environmental Protection Agency under the Act of 1992, a cost-benefit analysis shall be carried out by an economic operator when the economic operator plans to carry out one of the following:

• (a) to install a new thermal electricity generation installation with a total rated thermal input exceeding 20 MW that is not already a cogeneration unit;

• (b) to substantially refurbish an existing thermal electricity generation installation with a total rated thermal input exceeding 20 MW and the refurbished unit will not be a cogeneration unit;

• (c) to install or substantially refurbish an industrial installation with a total rated thermal input exceeding 20 MW generating waste heat at a useful temperature level and where the waste heat is not being used to satisfy economically-justified demand;

• (d) to construct a new district heating and cooling network or to install a new energy production unit with a total rated thermal input in excess of 20MW in an existing district heating or cooling network or to substantially refurbish an existing such installation and waste heat is not being used from nearby industrial installations.

• (12) A cost-benefit analysis shall fulfil the requirements of Part 2 of Annex IX and guiding principles made available under paragraph (10).

• (13) A cost-benefit analysis shall assess whether the benefits exceed the costs of using cogeneration or recovering waste heat as part of the installation as follows:

• (a) for installations covered by paragraph (11)(a) and (b), providing for the operation of the installation as, or conversion to, a high-efficiency cogeneration installation;

• (b) for installations covered by paragraph (11)(c), utilising the waste heat to satisfy economically justified demand, including through cogeneration, and of the connection of that installation to a district heating and cooling network;

• (c) for installations covered by paragraph (11)(d), utilising the waste heat from nearby industrial installations.

• (14) A cost-benefit analysis shall state whether the benefits exceed the costs for the energy efficiency activity outlined in paragraph (13) and state whether the current planned installation of the economic operator incorporates the energy efficiency activity.

• (15) A cost-benefit analysis shall be submitted by the economic operator to the SEAI.

• (16) The SEAI shall carry out an assessment of the outcome of a cost-benefit analysis submitted under paragraph (15)—

• (a) taking into account the outcome of the comprehensive assessment completed under paragraph (1),

• (b) ensuring that the cost-benefit analysis submitted under paragraph (15) fulfils the requirements of Annex IX and the requirements of the guiding principles published under paragraph (10), and

• (c) conclude whether the economic operator’s current planned activity notified under paragraph (14) is supported by the assessment under subparagraphs (a) and (b).

• (17) The SEAI shall prepare and publish on its website a notification of its assessment carried out under paragraph (16) and invite submissions from interested parties. The economic operator can make a submission.

• (18) Following consideration of the submissions received under paragraph (17), the SEAI shall issue a notification to the economic operator notifying it of the outcome of its assessment.

Exemptions

• (19) The Minister may exempt installations from the requirements of paragraph (11) where—

• (a) the installation is of a class or at a location identified by the report submitted in accordance with paragraph (11) as not having potential for the implementation of cost beneficial energy efficiency measures,

• (b) the installation is an electricity generating station which is planned to operate under 1,500 operating hours per year as a rolling average over a period of 5 years,

• (c) the installation is an installation that needs to be located close to a geological storage site as permitted by the European Communities (Geological Storage of Carbon Dioxide) Regulations 2011 ( S.I. No. 575 of 2011 ), or

• (d) the installation is below any threshold designated by the Minister for the amount of available useful waste heat, the demand for heat or the distances between industrial installations and district heating networks.

• (20) Where the planned activity is not supported by the outcome of the cost benefit analysis, the economic operator may make an application to the SEAI for an exemption from implementing the energy production option preferred under the cost benefit analysis. In assessing that application, the SEAI shall limit its consideration to whether there are imperative reasons of law, ownership or finance for granting such an exemption. Within one month of granting an exemption under this Regulation, the SEAI shall notify the Minister of the exemption and the reasons for granting it.

Notifications

• (21) The CER, in consultation with the transmission system operator, shall establish a verification procedure to ensure that the exemption criterion in paragraph (19)(b) is met and shall notify the Minister.

• (22) The Minister shall notify the European Commission and the Environmental Protection Agency in writing of any exemptions adopted under paragraph (19).

• (23) The Minister shall notify the European Commission of any exemptions notified to him by the SEAI under paragraph (20) within one month of receiving notification.

• (24) Following the Minister’s approval of a report submitted to him or her under paragraph (7) and not later than 31 December 2015, the Minister shall notify the European Commission and the Environmental Protection Agency of the outcome of the comprehensive assessment.

• (25) The Minister shall notify the SEAI in a timely manner of any request by the European Commission to update the comprehensive assessment.

• (26) The SEAI shall update its assessment undertaken under paragraph (1) at the request of the Minister and not later than 9 months after the date of the Minister’s notification.

• (27) The Minister shall notify the European Commission and the Environmental Protection Agency of the outcome of an update undertaken under paragraph (26) not later than one year after the date of the European Commission’s request or a later date if specified by the European Commission.

Authorisation procedure — amendment of section 83 of Act of 1992

• “(viiia) in the case of an industrial emissions directive activity at an installation to which paragraph (11) of Regulation 23 of the European Union (Energy Efficiency) Regulations 2014 ( S.I No. 426 of 2014 ) applies, and which is not the subject of an exemption under paragraph (19) or (20) of Regulation 23 of those Regulations, and where—

  • (I) the Sustainable Energy Authority of Ireland has notified the applicant or licensee that its assessment of the cost-benefit analysis undertaken in accordance with those Regulations confirms the findings of the cost-benefit analysis, and

  • (II) the cost-benefit analysis concludes that the benefit of an energy efficient option exceeds its costs and this is confirmed by that Authority,

  that the necessary measures will be taken by the applicant or licensee to implement that option,”.

Amendments of Act of 1999

• (a) by substituting for subsection (4) the following:

• “(4) The Minister may by order specify power-to-heat ratio default values for any technology or technologies which satisfy the definition of combined heat and power, provided that—

  • (a) in respect of the technologies referred to in paragraphs (a) to (e) of Part II of Annex I to the Directive, such default values shall be consistent with those specified in paragraph (b) of that Annex, and

  • (b) in respect of technologies other than those referred to in paragraph (a) of this subsection, such default values shall be notified to the European Commission.”,

• (b) by deleting subsections (6) and (7), and

• (c) by substituting for subsection (10) the following:

• “(10) In this section “Directive” means Directive 2012/27/EU of the European Parliament and of the Council of 25 October 20121.”.

Guarantees of origin

Supervision and issuance of guarantees of origin

• (2) Guarantees of origin shall be issued by the SEMO in accordance with the supervisory framework established by the CER and these Regulations.

• (3) The CER shall, after consultation with SEMO and other relevant persons it considers appropriate, design, establish and publish a supervisory framework for the issuance, registration, transfer and cancellation by electronic means, of guarantees of origin to generators of electricity from high efficiency cogeneration.

• (4) The CER and the SEMO shall ensure that combined heat and power guarantees of origin are accurate, reliable and fraud-resistant.

• (5) The SEMO shall report annually to the CER on the operation of system for the issuance, registration, transfer and cancellation of combined heat and power guarantees of origin.

• (6) The framework referred to in paragraph (3) shall include the management of the system for the issuance, registration, transfer and cancellation of guarantees of origin.

• (7) The CER may amend the framework referred to in paragraph (3) from time to time.

Functions of the combined heat and power guarantee of origin

• (8) The CER may introduce objective, transparent and non-discriminatory criteria for the use of guarantees of origin in complying with the obligations laid down in the Internal Market Regulations.